India's VGF Program Boosts Battery Energy Storage

18 Oct 2023 CW Team

The Viability Gap Funding (VGF) program for Battery Energy Storage Systems (BESS) recently introduced in India has received widespread industry approval due to its potential to impact system costs, demand, and manufacturing in the country. The VGF program, approved by the Union Cabinet in September 2023 with an initial allocation of Rs.94 billion ($1.1 billion), designates Rs.37.6 billion ($452 million) as budgetary assistance to facilitate 4 GWh of BESS projects by 2030-31. Key figures in the battery industry have expressed optimism about VGF's ability to accelerate India's transition to clean and sustainable energy.

The VGF program is expected to provide a much-needed boost to standalone BESS projects, with 5,020 MWh of projects in the pipeline, according to Mercom India Research's Project Tracker. The assistance, contingent on project completion within an 18 to 24-month window, could cover up to 40% of the project's initial capital cost.

Industry leaders anticipate that VGF will drive substantial demand, optimise costs, and attract private-sector investments. With the Indian government planning to make energy storage mandatory for renewable projects of 5 MW and above, the timing of the VGF introduction is highly favourable. The integration of BESS into the energy ecosystem could improve power quality, balance the grid, and reduce costs, ultimately fostering a resilient and sustainable renewable power system.

VGF is set to act as a catalyst for India's sustainable energy future by attracting private sector investments, promoting high-quality project development, and spurring innovation in the renewable energy sector.

Infrastructure Transport

01 Jun 2026

MMRDA advances 250 m on Orange Gate–Marine Drive tunnel

The Mumbai Metropolitan Region Development Authority (MMRDA) has completed 250 m of underground tunnelling for the Orange Gate–Marine Drive Urban Road Tunnel using India’s largest slurry shield tunnel boring machine (TBM) deployed for an urban road project.The project involves twin tunnels extending over 7 km beneath critical transport corridors, including Central Railway, Western Railway and Metro Line 3. The work requires high-precision engineering to navigate densely developed urban infrastructure.Once completed, the tunnel is expected to reduce travel time between Orange Gate and Marin..

Hindustan Zinc Pays Rs 188.46 Billion in FY26

Hindustan Zinc contributed Rs 188.46 billion to the public exchequer in FY 2025-26, according to its 9th Tax Transparency Report. The contribution, equivalent to 46 per cent of the company’s revenue, included direct and indirect taxes, government royalties, dividends to the Government of India, withholding taxes and other statutory levies.The company’s five-year cumulative contribution to the exchequer stood at Rs 915.72 billion. In FY26, Hindustan Zinc reported revenue of Rs 408.44 billion, EBITDA of Rs 221.62 billion and profit after tax of Rs 138.32 billion. It also achieved its highest..

World of Concrete India 2026 Opens in Mumbai

Informa Markets in India will host the 12th edition of World of Concrete India 2026 from 3–5 June 2026 at the Bombay Exhibition Centre, Mumbai. The specialised B2B exhibition will bring together manufacturers, suppliers, contractors, developers, architects, consultants, infrastructure companies, project leaders and government stakeholders.The event is expected to feature over 350 brands and more than 18,000 trade professionals. It will cover concrete and cement, dry mortar, precast technologies, formwork, construction chemicals, industrial and commercial flooring, scaffolding, safety solutio..